Find out what kind of house you can afford & your mortgage details
What is Planto's methodology?
Planto has a set of rules that your LTV cannot exceed certain amounts (depending on property value), your DTI cannot be exceed a certain amount, and your stressed DTI cannot exceed a certain amount. Under these set of rules, Planto will attempt to find the highest-value mortgage you can get.
Refer to https://en.hkp.com.hk/calculator/new-measures-on-mortgage.jsp for the relevant thresholds and limits
What is a stressed DTI or a stress test?
When you apply for a mortgage, the bank wants to be sure even if interest rates go up, you will still be able to pay your mortgage. To do so, they run something called a 'stress test' - they measure your DTI if the interest rate was to increase by 3%, and see what your debt burden would become relative to income.
Why is my house value not increasing even if I save more in the calculator?
When you get a mortgage, you are limited by either your LTV or your DTI.
DTI is your debt-to-income ratio. Basically your monthly payment cannot be more than a certain percentage of your salary.
LTV is your loan-to-value. Basically you cannot borrow more than a certain percentage of the property value (the max differs depending on the property price)
What is MIP?
MIP is a program offered by the HKMC that allows you to borrow at a higher LTV. However, this is only available for flats valued at less than 6m. In return, you pay a fee for this.